Old Mutual links unit trust investment to comprehensive motor insurance

What the report says

Old Mutual Investment Group Uganda (OMIG) has launched a new benefit that links qualifying unit trust investments to comprehensive motor insurance, according to The Observer. The arrangement is offered in partnership with Old Mutual General Insurance and is intended to encourage more Ugandans to protect their vehicles against risks such as accidents, theft, fire and related losses.

The publisher reports that the offer applies to customers who invest in selected Old Mutual products, including money market, umbrella and balanced funds, and keep at least Shs 100,000 invested. Old Mutual says the benefit forms part of a broader effort to combine wealth creation with wealth protection, rather than treating insurance and investing as separate decisions.

The move comes at a time when comprehensive motor insurance remains relatively uncommon in Uganda. The Observer cites the Insurance Regulatory Authority as saying only about 15% of registered vehicles have comprehensive cover. Old Mutual General Insurance managing director Andrew Makumbi said vehicle losses can have wider financial consequences, while OMIG managing director Zac Kisesi said customers should also protect the assets that support their long-term plans.

The Insurance Regulatory Authority’s Benard Obel said products that bundle investment and insurance could help expand financial inclusion and improve access to cover.